{"id":509861,"date":"2026-06-03T16:42:25","date_gmt":"2026-06-03T20:42:25","guid":{"rendered":"https:\/\/deultimominuto.net\/en\/uncategorized\/eliseo-almanzar-warns-that-an-obsolete-labor-code-stifles-formality-and-hinders-growth-in-the-dr\/"},"modified":"2026-06-03T16:42:25","modified_gmt":"2026-06-03T20:42:25","slug":"eliseo-almanzar-warns-that-an-obsolete-labor-code-stifles-formality-and-hinders-growth-in-the-dr","status":"publish","type":"post","link":"https:\/\/deultimominuto.com\/en\/dominican-news\/eliseo-almanzar-warns-that-an-obsolete-labor-code-stifles-formality-and-hinders-growth-in-the-dr\/","title":{"rendered":"Eliseo Alm\u00e1nzar warns that an “obsolete” Labor Code stifles formality and hinders growth in the DR"},"content":{"rendered":"\n

SANTO DOMINGO, DR.<\/strong> \u2013 Within the framework of the debate generated by the recent exclusion of the labor reform from the Chamber of Deputies’ agenda, lawyer and panelist of the program Politikal<\/a><\/em>, Jos\u00e9 Eliseo Alm\u00e1nzar<\/strong>, launched a harsh criticism of the current labor legislation, describing it as an “obsolete”<\/strong> instrument that fosters precariousness and informality in the Dominican Republic.<\/p>\n\n\n\n

Alm\u00e1nzar was emphatic in pointing out that the current code, which dates back to 1992<\/strong>, no longer responds to the economic realities of the 21st century. According to the jurist, the persistence of this legal framework is one of the main reasons the country maintains alarming levels of labor informality<\/strong>, which he currently places at around 53%<\/strong> or 54%<\/strong>.<\/p>\n\n\n\n

RELATED CONTENT: Hansel Garc\u00eda claims the business sector “outmuscled” the deputies and managed to exclude the Labor Reform from the agenda<\/a><\/strong><\/p>\n\n\n\n

The “unsustainability” of severance pay<\/strong> <\/h2>\n\n\n\n

One of the most critical points of his intervention<\/a> was the analysis regarding severance pay<\/strong>. Although he acknowledged that it is seen as an acquired right by a large part of society, Alm\u00e1nzar maintained that, in practice, it has become a financial burden impossible for the Dominican business fabric to bear, which is composed mostly of small and medium-sized enterprises.<\/p>\n\n\n\n

“You do nothing by having something in the code, rights that no one can pay,”<\/strong> the lawyer stated, explaining that no company in the country has sufficient liquidity to let go of 10% of its workforce at the same time due to the high cost of labor liabilities. This situation, in his view, forces employers to resort to subcontracting or “adjustment” payments to avoid commitments that could put their businesses out of circulation.<\/p>\n\n\n\n

\n